Business transferred without paying agreed amount
Sir , We have taken dealership paying amount with an agreement that they will pay back 3% return even if no sale every month on the condition we need maintain 75% of stock amount with company all days. 1 year all transaction went well and suddenly they stopped payments and that company transfered on another person name. Known people to us moved to different ciy.
We have agreement letter(100 RS stamp paper) and amounts were transfered Bank to Bank, no cash transactions.
Whats the best way to deal with it... thanks
Asked in Business Law from Hyderabad, Andhra Pradesh
Issue legal notice for breach of contract. Contact a local lawyer. It is necessary to go through the clauses in agreement to advise further.
Your relation is through the agreement. Please check if it is in personal capacity or on behalf of the company. If it is in personal capacity then you will have to locate the person and if on behalf of company, even if the business is transferred the new company will have to bear the liability if any. Go through the agreement minutely, find if you have clear cause of action. If you feel fraud is there you can go for criminal case and file the FIR with police.
Advocate, New Delhi
Seek enforcement of the terms of your contract and compensation for breach of the contract.